Do Sellers Cover Closing Costs?
Published by Cash Flow Deals · Last updated 2026-08-04 · Published and reviewed for compliance by Camilo Palacio, a Florida Licensed Realtor
Yes. Sellers typically pay real estate commission, title and escrow fees, transfer taxes, and their prorated share of property taxes at closing. Seller-side closing costs excluding commission usually run about 1% to 3% of the sale price. Commission has historically added another 5% to 6%, though the 2024 NAR Sitzer/Burnett settlement made that rate fully negotiable. Cash Flow Deals charges its fee as a separate line item on the closing statement, not a markup baked into the price.
| Factor | Traditional Route | Cash Flow Deals |
|---|---|---|
| How the fee shows up | Commission plus several assorted closing fees | One clearly itemized fee on the closing statement |
| When the net price is set | Estimated at listing, can shift after negotiation and repairs | Locked before repairs are scoped |
| Who funds the purchase | Buyer's own lender, same as any financed sale | Buyer's own FHA or conventional lender |
What Closing Costs Sellers Actually Pay
Sellers typically cover real estate commission, owner's title insurance in many markets, escrow or closing agent fees, transfer taxes, recording fees, and a prorated share of property taxes and any HOA dues up through the closing date. If the seller still owes a mortgage, that payoff plus any prepayment penalty comes out of proceeds at closing too. None of this is optional paperwork. It is money that leaves the seller's proceeds before a check ever gets cut.
How Much Sellers Pay, in Real Numbers
Excluding commission, seller-side closing costs generally run about 1% to 3% of the sale price nationally, driven mostly by title fees, transfer taxes, and recording costs, and the exact figure depends heavily on local transfer tax rates. Commission has traditionally been the biggest line item, often adding another 5% to 6% combined for both the seller's and buyer's agents. On a $350,000 sale, total seller-side costs including commission often land somewhere in the $21,000 to $31,500 range, roughly 6% to 9% of the price, though the number moves a lot based on location and what gets negotiated.
Commission Is Now Negotiable, Not Fixed
The 2024 NAR Sitzer/Burnett settlement, effective August 17, 2024, changed how commission works nationwide. A listing agent can no longer publish buyer-agent compensation on the MLS, and buyer's agents now sign a written agreement with their buyer spelling out how much they will be paid before touring a home. Commission was never legally fixed before this, but the settlement made the negotiable, unbundled nature of it explicit and enforced. Sellers now negotiate commission directly instead of seeing it presented as a standard percentage.
How Cash Flow Deals Handles the Fee
Cash Flow Deals is not a markup on the sale price. Sellers get a locked net price before repairs are ever scoped, and Cash Flow Deals is paid as its own separate line item on the closing statement, the same way a title company or an agent is paid, not folded invisibly into a lower price. Because the buyer's own FHA or conventional lender funds the purchase and title transfers once, directly from seller to buyer, the closing statement looks like a normal financed sale with a clearly itemized fee, not a hidden spread.
Common questions
Can a seller ask the buyer to cover some closing costs instead?
Yes. Seller concessions, where the seller agrees to pay part of the buyer's closing costs in exchange for a stronger offer or higher price, are common and fully negotiable between the parties.
Are seller closing costs the same in every state?
No. Transfer tax rates and which party customarily pays for title insurance vary by state and even by county, so the exact percentage moves depending on where the home is.
Is commission still 6% after the NAR settlement?
There is no fixed or mandatory rate. The 2024 NAR Sitzer/Burnett settlement, effective August 17, 2024, requires commission to be negotiated directly and disclosed in writing rather than published on the MLS, so the actual rate varies by agent and by deal.
Do sellers pay less in closing costs if there's no agent involved?
Selling without a listing agent removes that side of the commission, but title fees, transfer taxes, escrow fees, and prorated taxes still apply regardless of who represents the seller.
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What this means for your options
A value estimate is a starting point, not a guaranteed number. Our process tests your home against the real market -- real buyers, real comps -- before you commit to a price.
Wait and see
Keep the property as-is and hope conditions improve. The mortgage, insurance, and upkeep keep costing money while you wait, with no set date for things to turn around.
List with a traditional agent
Standard MLS listing, typically 5-6% in commission, and a financed buyer whose deal depends on appraisal, inspection, and lender approval — any of which can fall through after weeks on market.
Sell to Cash Flow Deals
No repairs, no showings, no financing contingency on your side — our novation structure connects you with a bank-financed buyer at a price locked at signing. Usually within one business day.
See your selling options before you decide anything.